Source: New Zealand Government
Ladies and Gentlemen, distinguished guests, representatives from across the European Union and New Zealand – good morning and welcome to Auckland.
Can I begin by acknowledging our co-hosts and the remarkable efforts that have brought us together today.
Welcome and thanks to EU Trade Commissioner Maroš Šefčovič, EU Ambassador to New Zealand Lawrence Meredith, and of course representatives and business from 26 of 27 member states of the EU.
I want to acknowledge the extraordinary commitment by many of you who have travelled here from the other side of the planet.
Some of you have endured nearly 30 hours of travel time.
That’s enough to watch all three extended editions of The Lord of the Rings trilogy. Twice. Thank you for being here today, we very much appreciate it.
Today, we gather not to celebrate good intentions or future opportunities, but to mark something truly spectacular: the extraordinary success of the EU-New Zealand Free Trade Agreement in its first full year of operation.
This FTA has exceeded our most optimistic expectations.
We are now exporting NZ$2 billion more to the EU than we did prior to the FTA entering into force just 18 months ago.
That is real jobs and real benefits for businesses and consumers in New Zealand and in EU member states.
The numbers, as you heard from our Prime Minister, are compelling.
Goods exports from New Zealand to the EU have increased by one third under this FTA, and for me some pleasing and perhaps surprising standouts: machinery and equipment exports are up a significant 44 per cent and services exports from the EU up 12 per cent, led by a welcome boost to tourism.
Wine, seafood, cheese – the start of a good kiwi or European dinner – have materially benefited from better market access offering European and New Zealand citizens more choice.
Apart from greater volume and value of trade between our countries, both the EU and New Zealand benefit from greater resilience that comes from diversification of trade and investment.
This success hasn’t happened by accident.
It is built on our shared commitment to a rules-based approach.
Our FTA includes rights and obligations for both parties – not as constraints, but as enablers of confidence and certainty.
New Zealand is fully committed to upholding these rules and meeting our obligations.
In an era where international trade faces headwinds, and where uncertainty threatens the rules-based order, we stand firmly behind the principle that agreements should be honoured, standards maintained, and commitments kept.
We don’t just want others to join this rules-based approach – we need them to, for all our sakes, and particularly for the business community.
The benefits of credible commitments to rules are clear. Greater investment and competition means better choices for consumers.
When a family in Berlin can enjoy New Zealand lamb at a reasonable price, or when a New Zealand manufacturer can access cutting-edge European technology or a kiwi couple French, or Italian or Spanish wine without harmful tariffs, everyone wins.
At a time when the cost of living is top of mind for many citizens, free trade is more important than ever.
Lower prices, higher quality, greater choice, and more innovation – it all means improvement in the everyday lives of real people.
We also know trade can improve environmental outcomes where high-quality regulations enforce sustainable practices.
Put simply, trade amplifies the benefits of strong governance.
So, it is our shared commitment to fundamental values of democracy, human rights, environmental stewardship, and fair play that makes New Zealand and the EU natural partners in trade and investment.
New Zealand is a great place to do business. We are among the best-connected economies in the world.
Our comprehensive network of trade agreements offers unparalleled access to global markets for New Zealand-based businesses.
Alongside the EU, New Zealand has high-quality Free Trade Agreements with China, Australia, ASEAN, Singapore, Hong Kong, South Korea, Taiwan, Malaysia, Thailand, Brunei, the Pacific Islands, Chile, the Gulf Cooperation Council soon to be signed, United Arab Emirates, the United Kingdom, and through CPTPP and RCEP, major economies across the Asia-Pacific.
Combined, these Agreements cover one third of the world’s population.
We are, quite literally, a gateway to the world’s most dynamic markets.
Let me illustrate the opportunity with a couple of examples.
Some years ago, I spoke to the Chief Executive of a German company whilst speaking at a Hong Kong German trade summit, similar to this one. He talked about the importance of the Chinese market to his company.
I told him to bring production to New Zealand. Our FTA with China means he can make his products in New Zealand and export to China with the full benefit of our preferential trade agreement. He immediately began exploring partnership opportunities here.
Even more tellingly, German agricultural company BayWa acquired Turners & Growers in 2012 – one of New Zealand’s premier fresh fruit exporters.
A key driver of their purchase was tariff-free access to Asian markets through New Zealand’s FTAs and to have a year-round market presence for apples as our growing seasons are complementary and do not compete.
These companies have recognised what many European businesses are now discovering. New Zealand isn’t just a market of 5 million people. It’s a gateway to 3 billion consumers across the Asia-Pacific.
New Zealand has a wealth of trade and investment opportunities.
To explore these opportunities, I would encourage you to speak to Invest NZ, our dedicated new agency established earlier this year to attract foreign direct investment into New Zealand.
They will connect you with opportunities in high-growth sectors in New Zealand including renewable energy and technology.
For broader trade prospects, talk to New Zealand Trade and Enterprise which has international offices covering all EU member states. NZTE serves as a key gateway for partnering with Kiwi businesses and to expand your international footprint.
For infrastructure investment, the National Infrastructure Funding and Financing Company is your premier point of contact to invest in our extensive pipeline of infrastructure projects. Private capital investments in vital public projects across the country is a priority for this Government.
But our connections run deeper than trade and investment.
We are thrilled that New Zealand is included in the EU’s Horizon Europe programme, the world’s largest research and innovation project.
This isn’t just about funding. It’s about being part of and contributing to a global community of innovators who are taking on humanity’s greatest challenges.
New Zealand’s contribution to Horizon has leveraged our strengths in digital innovation, environmental management and health research.
Research is a model of cooperation that sits alongside trade and investment and has the potential to be as important.
History shows us the power of innovation through collaboration on big problems.
Innovation brings the unexpected. It has a way of producing cascading benefits through society in ways that are impossible to predict.
Through Horizon Europe, we see a major opportunity together to make real progress on issues like climate change and food security.
I believe our shared commitment to investment in innovation to achieve the trifecta of lower food costs for consumers, increased food abundance, and lower emissions.
That means we can have our gâteau and eat it too.
Through science and technology, we can make sure future generations inherit both a world with food security and a healthy environment.
As successful as our partnership has already been, we must not rest on our laurels.
We need to identify the next big opportunity to take the EU-New Zealand relationship even further.
From my perspective, the transformative possibility is to bring the European Union into dialogue with the Comprehensive and Progressive Trans-Pacific Partnership.
CPTPP represents 15 percent of global GDP and includes some of the world’s most dynamic economies.
A formal dialogue with the EU would create an opportunity to talk about trade rules and trade parameters for an economic area covering nearly 40 percent of global GDP – a truly unprecedented platform for lasting growth and prosperity.
Imagine the innovations that could flow from connecting European excellence with the dynamism of Asia-Pacific through a common approach to trade.
Ladies and gentlemen, as I look around this room, I see not just business leaders and officials, but architects of a remarkable partnership.
In just over one year, we have proven that when Europe and New Zealand work together, extraordinary things happen.
This is only just the beginning. The pathways we’ve opened through our FTA, the innovations we’re pursuing through Horizon, the possibilities we’re exploring for deeper integration – these are the foundations for a partnership that will deliver prosperity for generations to come.
To our European friends who have travelled so far to be here: thank you for your commitment. Your presence demonstrates that you see what we see – that this relationship is special, valuable, and worth investing in.
To everyone here: let’s seize this moment. Let’s build on our spectacular start. Let’s show the world that distance is no barrier to partnership, that shared values and mutual benefit are the strongest foundations for success.
Commissioner, thank you for travelling here, you are so welcome to New Zealand and I look forward to the days ahead that we can find new ways to lift the ceiling and deliver great things, not only for the European Union and New Zealand but through leadership internationally.
MIL OSI
